Banks, with the likely exception of health care, are probably the single largest drain on the American economy. One of the benefits of ATMs - convenience is probably the primary benefit - was that you could withdraw cash as you needed it. Instead of having to make large, infrequent withdrawals that left one with a wad of money burning a hole in one's pocket, one could make small, frequent ad hoc withdrawals that left one with less cash on hand for frivolous purchases. Such is no longer the case. It is more cost-effective now to make a single large withdrawal and incur a single, uniform fee rather than make smaller, multiple withdrawals and incur multiple fees. If you haven't seen it, Louis CK has a very funny bit dealing with this issue: <link>

So they don't have "cash back" at the grocery stores in your area? You can't use your debit card instead of paying cash? You can't be bothered to use an ATM that's owned by your bank and therefore free? You can't leave the 'extra' cash at home so that you're not tempted to spend money that you can't afford?

I see problems in your story, but none of them have anything to do with the big ol' meany of a bank forcing you to waste your money.